This month my employer gave me a pay increase from $48K/annual to $63K/annual. I'm reporting this to my bk attorney to see what needs to happen regarding my chapter 13 payment and if it needs to be adjusted.
Here are my questions.
1.) I have claims of approximately 17K and have been paying $100/mo on a 5 year plan based on my DMI. Payments have been made on time and I've actually been able to make extra payments here and there in the beginning. Been on plan since 2/2013. Considering my claim amount and my pay increase, what would be my worst case scenario as far as a payment modification? Of course I don't mind paying more since I'm making more, but I'd also like to be able to put some money away for savings/rainy day.
2.) My pay increase was effective 2 weeks ago (it was a surprise to me) so will the trustee look for an extra payment to cover that pay period where I made more money?
3.) How does the process work with regards to pay increases? I assume the attorney notifies the trustee then the trustee motions to modify the plan? If the payment amount is crazy high do we have the opportunity to negotiate or dismiss the case entirely.
Ultimately I want to pay my debt as I'm supposed to but if the trustee takes all of my DMI then having a pay increase is pointless in a way since I won't be able to put away money for savings.
Thanks for your help in advanced, guys!
Here are my questions.
1.) I have claims of approximately 17K and have been paying $100/mo on a 5 year plan based on my DMI. Payments have been made on time and I've actually been able to make extra payments here and there in the beginning. Been on plan since 2/2013. Considering my claim amount and my pay increase, what would be my worst case scenario as far as a payment modification? Of course I don't mind paying more since I'm making more, but I'd also like to be able to put some money away for savings/rainy day.
2.) My pay increase was effective 2 weeks ago (it was a surprise to me) so will the trustee look for an extra payment to cover that pay period where I made more money?
3.) How does the process work with regards to pay increases? I assume the attorney notifies the trustee then the trustee motions to modify the plan? If the payment amount is crazy high do we have the opportunity to negotiate or dismiss the case entirely.
Ultimately I want to pay my debt as I'm supposed to but if the trustee takes all of my DMI then having a pay increase is pointless in a way since I won't be able to put away money for savings.
Thanks for your help in advanced, guys!
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